Trust-Based Philanthropy Is Not on Trial
This piece was originally published by The Chronicle of Philanthropy and has been reprinted here with permission.
Trust-based philanthropy positions funders as collaborators working alongside nonprofits to achieve shared goals. It is not, however, about boards ceding decision making entirely to communities, as a recent Chronicle of Philanthropy article suggests (“Trust Based Philanthropy Lands in Court: the Winthrop Rockefeller Case.”)
By centering the plaintiffs’ uninformed critique of trust-based philanthropy and reinforcing it with skeptical voices, the article mischaracterizes trust-based philanthropy and misleads readers into believing the approach is on trial. It’s not.
For boards embracing or considering trust-based philanthropy, there are several important factors to consider:
Trust-based philanthropy benefits nonprofits and funders alike. A growing body of research, most recently from the Center for Effective Philanthropy, highlights the importance of flexible, long-term support for nonprofit effectiveness. This cornerstone practice of trust-based philanthropy creates conditions for more honest conversations and mutual accountability between funders and grantees. In the process, it reveals information that helps boards assess progress toward key goals, clarify risks and strategy, and determine the best use of resources.
Trust-based philanthropy operates fully within legal and fiduciary standards. Rather than a departure from compliance, trust-based philanthropy is an evolution in practice. Its principles have been examined by legal experts and consistently found to align with nonprofit law, IRS regulations, and fiduciary duty.
Trust-based boards remain accountable and can focus more on what matters most. Framing this as a choice between trusting nonprofits and exercising oversight creates a false binary. Trust-based approaches do not outsource board responsibility. They help boards spend less time on transactional grant oversight and more on strategy, mission, and impact.
Trust-based philanthropy is no fringe movement. A 2025 study of philanthropic practice by Grantmakers for Effective Organizations found that six in 10 foundations embrace trust-based philanthropy approaches. This reflects a growing recognition that it leads to better relationships and results.
The Winthrop Rockefeller case is ultimately a board power struggle, with trust-based philanthropy pulled into the narrative. The real question boards should be asking is not whether to trust nonprofits but how to govern well. That requires collaboration, rigorous and continuous learning, and a willingness to iterate based on real-world insight — guided by those closest to the challenges funders seek to address.
Pia Infante and Shaady Salehi are Co-Executive Directors of the Trust-Based Philanthropy Project.
Carrie Avery is a Distinguished Fellow at the National Center for Family Philanthropy and former President of the Durfee Foundation.